We come from the world of finance and we appreciate a profit when we see it but the worrying element of the SIB debate in some quarters (see below) remains where people see it as some sort of battle between left and right. FWIW, I don’t see it remotely as that. The truth is we need to find a new way to fund our future expenditure and make society work better. Government has reached a ceiling of debt and there are few ways to tax more either. Therefore there must be a third way solution. The alternative of simply leaving people without any help does not bear thinking about…
Okay, end of rant, step off soapbox, enjoy today’s stories, some interesting reading:
Social Innovation Research
The interest in social innovation has grown over the last 10 years but it’s not new – since the dawn of time individuals, families and communities, governments, and companies have developed innovative solutions to tackle social problems. What is new is the energy being invested into taking our social innovation abilities to a higher level. Around the world there are initiatives to connect innovators, share knowledge of what works, find ways to attract resources, and develop new partnerships that cross communities and sectors. And what is also new – Governments are starting to recognize that they are a critical partner in scaling proven social innovation.
The Economy of Media
It appears to the Oracle of Ottawa that the greed heads have come come up with a potential candidate, it is called a Social Impact Bond. It is a contract with the public sector in which a commitment is made to pay for improved social outcomes that result in public sector savings.(?) In other words the greatest potential Public Private Partnership(ripoff) of all time! Trebles all around. Now the problem is that it all sounds good from the top. Just like sub prime lending, the first generation social impact bond, if you like. This helps a ton with the marketing all round. It only has to look good until the sucker signs on.
Buckinghamshire Funding News
Last year the Government set up Big Society Capital as a social investment bank with the aim of radically changing the way Britain’s social sector is funded. With £400 million from dormant bank accounts and £200 million from High Street banks, the new institution aimed to kick-start what’s called the social investment market.
So how has it done in the last year? According to its first annual report, Big Society Capital has committed £56 million to 20 social investment intermediaries over the past year. And it plans to commit another £75 to £100 million in up to 20 new investments in the next financial year. It also made a loss of £1 million during the period April to December 2012.